Hiring an accountant is a decision most small business owners in London make only a handful of times, which makes it easy to feel unsure about what to actually ask during that first conversation. A good set of questions can reveal far more than a polished website, and it puts the prospective firm on the spot to demonstrate real understanding rather than repeat marketing language. Here are the questions worth asking before you commit, and what the answers can tell you about whether a firm genuinely understands small businesses.
Ask About Their Typical Client
Start by asking the firm to describe their typical client in detail — size, sector, stage of growth. A firm that works primarily with small businesses should be able to answer this instantly and specifically, mentioning turnover ranges, common challenges, and perhaps even similar businesses to yours they've supported. Vague or generic answers suggest small businesses are a minor part of their client book rather than a core focus.
Follow up by asking how their service differs for a business at your specific stage compared with one that's just starting out, or one that's more established. The answer should reveal whether they genuinely adapt their approach to growth stage, or offer the same package regardless of where a client actually sits.
It's also worth asking what the firm considers the biggest challenge facing a business like yours right now. A firm that genuinely understands small businesses in London will likely mention something concrete and current — rising costs, staff retention, cash flow timing — rather than a generic statement about "compliance" or "growth" that could apply to almost any client anywhere.
Ask How They Handle Cash Flow Conversations
Cash flow is often the single biggest concern for small business owners, more immediately pressing than annual profit. Ask directly how the firm helps clients manage cash flow — do they provide forecasts, flag upcoming liabilities in advance, or simply report figures after the fact? An accountant who takes cash flow seriously as part of their core service, rather than treating it as a separate paid extra, is more likely to add real value throughout the year.
Ask About Fees and What's Included
Pricing transparency is one of the clearest indicators of how a firm treats its small business clients. Ask for a detailed breakdown of what's covered by any quoted fee, and specifically what would trigger an additional charge. Ask whether pricing is fixed monthly or based on hourly billing, and if hourly, request a rough estimate of what a typical month or quarter might cost. A firm that answers openly and in detail is signalling confidence in its pricing structure; evasiveness here is worth taking seriously as a warning sign.
It's also worth asking what happens if your business circumstances change significantly mid-year — taking on a new employee, registering for VAT, or bringing in additional revenue streams. Understanding how pricing adapts to those changes avoids unpleasant surprises later.
Consider asking, too, whether the quoted fee is reviewed annually and by how much it typically increases. A firm that's upfront about its fee review process, rather than leaving pricing changes as a surprise on your renewal invoice, is demonstrating the kind of transparency that small business owners genuinely value.
Ask Who Will Actually Handle Your Account
The person who impresses you in the initial sales conversation isn't always the person who ends up managing your account day to day. Ask directly who will be your main point of contact, what their experience level is, and how accessible they'll be. In some larger firms, smaller clients are routed to junior staff with limited experience of the issues that matter most to a growing business, so it's worth clarifying this upfront rather than assuming.
It's also reasonable to ask what happens if that main point of contact is away or leaves the firm. A well-run practice should have continuity built in, with shared notes and a clear handover process, so your business doesn't lose momentum or have to explain its history from scratch to a replacement who's never heard of you.
Ask About Technology and Software
Modern small business accounting relies heavily on cloud software like Xero, QuickBooks or FreeAgent. Ask what platforms the firm supports, whether they can help migrate your existing records if you're switching providers, and whether software training is included in their fee. An accountant who is well versed in these tools can save you considerable time by automating routine bookkeeping tasks and giving you real-time visibility of your financial position, supported by proper bookkeeping and accounting services rather than manual, after-the-fact reporting.
Ask About Response Times and Availability
Small business owners frequently need quick answers to time-sensitive questions. Ask how quickly the firm typically responds to emails or calls, and whether there's a specific process for urgent queries. A firm confident in its service levels will give you a specific answer rather than a vague reassurance.
- What is your typical response time to a client email or call
- Is there a dedicated point of contact for my account
- How do you support clients through busy periods like year end
- What proactive advice do you provide beyond compliance filing
Ask How They Handle Growth Milestones
Small businesses rarely stay static, and the accountant you hire today should be able to support you through the milestones that lie ahead — hiring your first employee, crossing the VAT registration threshold, taking on a business loan, or opening a second location. Ask the firm to walk you through how their support changes at each of these stages. A firm with real small business experience should be able to describe these transitions specifically, including common pitfalls founders run into and how they help clients avoid them.
This question is particularly revealing because it forces a prospective accountant to demonstrate depth rather than breadth. Anyone can claim to serve small businesses; far fewer can describe, in concrete detail, how their service actually adapts as a client's circumstances evolve over several years.
Ask What Happens If Things Go Wrong
No business runs entirely smoothly, and it's worth understanding upfront how a prospective accountant handles difficult situations — a missed deadline caused by a data delay on your end, an HMRC enquiry, or a sudden cash flow crisis. Ask how they've supported clients through moments like these in the past, and what their process looks like for urgent, high-stakes situations. Their answer will tell you a great deal about whether they see themselves as a genuine partner in difficult moments or simply a service provider for routine paperwork.
Ask for References From Similar Businesses
Finally, ask for references or reviews from other small business clients, ideally ones operating in a similar sector or at a similar stage to yours. Genuine feedback from current clients is one of the most reliable indicators of what working with a firm actually feels like once the sales conversation is over. A firm offering solid bookkeeping and accounting services should be able to point to satisfied clients without hesitation.
The Bottom Line
Asking the right questions before hiring an accountant puts the responsibility on the firm to demonstrate genuine small business understanding, rather than leaving you to take marketing claims at face value. Questions about typical clients, cash flow support, pricing transparency, account management, technology and responsiveness will together paint a clear picture of whether a firm is the right fit for your business, and give you far more confidence in the decision you ultimately make.
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Fred Michael & Co Ltd is a small business accountant in London built around your business, not a one-size-fits-all package. Get in touch and we will talk through where your business is now and where it needs to go.